Abidjan, Côte d'Ivoire, July 13, 2022 – To support the growth of digital finance services in West Africa, IFC announced a partnership with Orange Bank Africa (OBA) to increase access to finance for agents and merchants operating in the mobile money ecosystem.
Under the partnership, IFC will provide advisory services to Orange Bank Africa to help the mobile bank develop and test innovative and scalable digital lending products that meet the specific needs of mobile money agents as well as merchants accepting this type of payment.
These solutions will initially be deployed in Côte d'Ivoire, where Orange Bank Africa launched its commercial activities in July 2020.
In its pilot phase, the project will target 250 agents of the Orange Money Côte d'Ivoire network to increase their access to financing through Orange Money and allow them to have sufficient liquidity to meet their clients' demands.
Agents are essential to the mobile money ecosystem in West Africa. But these entrepreneurs, most of whom are underbanked, face liquidity issues that sometimes force them to refuse transactions, hindering the development of their businesses and the sector as a whole.
"Through the partnership with IFC, our bank aims to strengthen its collaboration with the thousands of agents and merchants, in particular in rural areas, who play a key role in the mobile money ecosystem," said Jean-Louis Menann-Kouamé, CEO of Orange Bank Africa. "More generally, this project is in line with our mission to improve access to financial services in the region by leveraging transformations in the digital sector."
"Fostering financial inclusion is a top priority for IFC in Africa, and mobile money is an effective way to achieve this. We are delighted to partner with Orange Bank Africa to break new ground in digital lending," said Manuel Reyes-Retana, IFC's Regional Industry Director for the Financial Institutions Group in Africa. "We see this as a first step in a long-term partnership with Orange Bank Africa to help the bank develop viable banking services for those who need them the most."
Although more than 80 percent of Ivorians have mobile money accounts today, the rapid growth of the sector in recent years has not yet translated into the use of formal savings, credit or insurance products. Increasing access to digital financial products for micro and small enterprises requires a redesign of the offering, including by developing alternative credit scoring techniques.
Established out of a partnership between the Orange Group and the banking and insurance group NSIA Banque, Orange Bank Africa is the first digital bank to be licensed as a commercial bank by the Central Bank of West African States (BCEAO).
About IFC
IFC—a member of the World Bank Group—is the largest global development institution focused on the private sector in emerging markets. We work in more than 100 countries, using our capital, expertise, and influence to create markets and opportunities in developing countries. In fiscal year 2021, IFC committed a record $31.5 billion to private companies and financial institutions in developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity as economies grapple with the impacts of the COVID-19 pandemic. For more information, visit www.ifc.org.
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About Orange Bank Africa
Orange Bank Africa was established out of a partnership between the Orange Group and the banking and insurance group NSIA Banque, two leading players in their respective markets. The fully digital bank is committed to strengthening financial inclusion in the UEMOA zone, with the aim of improving the quality of life of the population. It offers people access to innovative and simple solutions based on mobile services. One of its flagship products, the Tik Tak+ loan, allows customers to receive up to 300,000 CFA francs in less than 10 seconds into their Orange Money account.
Orange Bank Africa relies on the Orange Group's expertise in financial services, demonstrated since 2008 by the success of Orange Money in over 17 African countries. Based in Abidjan, Côte d'Ivoire, the Orange Group's digital bank aims to extend its presence in the near future to the markets of Senegal, Mali and Burkina Faso.
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